This memorandum presents and explains the position of the Commission of the European Communities on issues of higher education. In establishing the context for the memorandum it notes population and labor market changes. This memorandum identifies a series of actions which could be taken and raises a wide agenda of issues which argue for a stronger European dimension in planning and functioning than exists at present in higher education. It also identifies the Commission's role as a catalyst and facilitator of cooperative and common action in accordance with the principle of subsidiarity and respecting a diversity of provision. Critical areas discussed include participation in and access to higher education, partnership with economic life, continuing education, open and distance education, and the European Community dimension. The contours of the European dimension are defined and include student mobility, cooperation between institutions, Europe in the curriculum, the central importance of language, the training of teachers, recognition of qualifications and periods of study, the international role of higher education, information and policy analysis, and dialogue with the higher education sector. (JB)